International


The International Accounting Standards Board (IASB) proposed an interim standard that would allow entities to preserve their existing accounting policies for rate-regulated activities—with some modifications to enhance comparability—while the board considers whether it should develop specific guidance.

Feedback from the IASB’s agenda consultation led the board to launch a project to consider whether it should develop specific guidance for rate-regulated activities. The board also is trying to determine what information financial statement users would need about the consequences of rate regulation if specific guidance is developed.

Industry sectors such as transportation and utilities are subject to rate regulation in many jurisdictions, and rate regulation can significantly affect the timing and amount of an entity’s revenue. But existing IFRS does not provide specific guidance for rate-regulated activities.

The exposure draft for the proposed interim standard, Regulatory Deferral Accounts, seeks comments by Sept. 4 and is available at tinyurl.com/bqrhrg3.

SPONSORED REPORT

Revenue recognition: A complex effort

Implementing the new standard requires careful judgment. Learn how to make significant accounting judgments and document them and collaborate with peers for consistent application.

VIDEO

How to Excel pivot a general ledger

The general ledger is a vast historical data archive of your company's financial activities, including revenue, expenses, adjustments, and account balances. J. Carlton Collins, CPA, shows how to prepare data for, and mine data with, PivotTables.

QUIZ

News quiz: Taking an economic snapshot and looking to the future

Recent news included IRS actions that affect individuals and partnerships and a possibly influential move by a Big Four accounting firm.Take this short quiz to see how much you know about the news.